Good evening, brother. The current market still maintains a bull market trend. Although some events occurred yesterday, particularly in the Korean cryptocurrency market, we won’t go into the sensitive topics involved, as everyone should know what it is. In short, this is just a small episode in the market and will not have a long-term impact on the overall trend.
Currently, a slight short-term correction in the market may actually help future rises. Such small adjustments can help eliminate leverage in the market, making it healthier when prices continue to rise in the future. Although events in Korea have caused a brief downturn in the cryptocurrency market, this has not changed the overall direction of the bull market. Many people panic when they see the market decline, but this panic is unnecessary; as long as one understands the reasons and remains calm, it's fine.
Altcoin trends in a bull market
The current market has more entered an 'altcoin' trend, with daily increases of 20% to 30% becoming very common, which is usually a sign of a bull market. However, such trends also easily accumulate risks.
Therefore, everyone should be cautious and avoid blindly chasing highs when altcoins are surging. When doing swing trading, one should reduce positions at highs, while long-term investment should focus on buying and not selling (unless it has increased significantly). Especially for cryptocurrencies like BNB and OKB, which started to rebound this morning with considerable increases.
Due to rumors that CZ may sell part of Binance's stake, it is likely that a powerful consortium will take over. Therefore, in the long run, the prospects for BNB still look promising, but the key is to be aware of your cost price to avoid chasing highs.
Should we buy the cryptocurrencies that Sun has promoted?
Recently, Sun has raised his own cryptocurrency by selling over 2,000 bitcoins, resulting in price increases for TRX and other Tron-related cryptocurrencies like JST, SUN, WIN, etc. Sun seems to be leveraging market trends to boost his own cryptocurrency. However, this increase may not be sustainable, and everyone should operate cautiously to avoid chasing highs. Sun has previously been sued by the U.S. Securities and Exchange Commission (SEC), and although he has used various means to inflate the price of his project’s cryptocurrency, this operation carries significant risks, and investors should avoid blindly following the trend.
SEC introduces cryptocurrency market regulation
The SEC (U.S. Securities and Exchange Commission) has recently strengthened its regulation of the cryptocurrency market, and many cryptocurrencies previously classified as securities by the SEC have seen good price increases lately. For example, ADA, ALGO, ATOM, FIL, FLOW, ICP, MANA, MATIC, NEAR, OMG, SOL, and others have made certain recoveries in the market. Therefore, everyone should pay attention to those cryptocurrencies that have not yet rebounded to see if there will be another cryptocurrency with a significant price increase.
The overall market trend
Now, the focus of the overall market is gradually shifting from Bitcoin to altcoins. The price of Bitcoin is already relatively high, leaving little room for further increases. More importantly, market liquidity is beginning to shift to other cryptocurrencies, especially the second-largest, Ethereum, and some altcoins. Therefore, in the short term, Bitcoin may undergo adjustments, while altcoins might present more opportunities.
Market opportunities and risks
Although it is currently a bull market, short-term corrections are inevitable. Therefore, everyone should always remain vigilant, especially as the market rises, remember to manage their positions well to avoid excessive leverage and being fully invested. The market is full of opportunities, but if we don’t have capital, there’s nothing to talk about. While earning profits, consider the risks and reasonably withdraw some positions for emergencies.
Pay attention to market fund flows
Recently, we have seen that the inflow of ETF funds into Ethereum has surpassed that of Bitcoin. This indicates that institutions are increasingly interested in Ethereum, and it suggests that ETH may become one of the main cryptocurrencies in the market in the future. Additionally, there are many promising altcoins, such as SOL, which may also launch their own ETF next year. Therefore, everyone should pay attention to the fund flows of these cryptocurrencies.
